Pan Am Games costs could jump to $96.5M

Mayor Rob Ford said he was “blindsided” by the escalating costs of hosting the Pan Am Games and the city “had a gun put to our head,” after he and his executive committee endorsed spending another $47-million on new or improved sports facilities.

All told, Toronto may now pay $96.5-million — almost double the 2009 quote — to be the focal point of the 2015 Games, which will span the Golden Horseshoe. It is touted as the largest event on Canadian soil, twice the size of the Vancouver Olympics. The additional funding is subject to city council approval.

About half of the increase — $23-million — is for soil remediation to convert a former dump site into the Pan Am Aquatic Centre on and adjacent to the University of Toronto’s Scarborough campus. It will act as a training centre for elite athletes after the Games, and a recreation centre for students and area residents. Another $1.6-million will go to update a city-operated track at York University, $700,000 to build a bicycle moto-cross course at Centennial Park, and $464,000 on managing the project through completion.

The remaining $21.3-million represents inflation, because the original cost of $49.5-million was in 2008 dollars, not 2014.

The city is paying for less than one third of the capital projects, which include retrofitting the Etobicoke Olympium aquatic centre and resurfacing a track at Centennial, with the balance funded by the federal and provincial governments, and the University of Toronto.

“I was completely blindsided by this Friday afternoon and we didn’t really have a choice. We had a gun put to our head, as you saw, or Markham would have got it,” said Mayor Ford, referring to the fact that Markham had originally wanted the aquatic centre in its boundaries.

“We’re going to pay our fair share and that’s it. If people are going to come in with last-minute surprises, I’m telling you the City of Toronto is not going to pay for it. They can find it somewhere else,” he said. “I guess you’ve got to look at the big picture, we’re going to get a huge asset out of it, a pool in Scarborough that’s going to create thousands of jobs, it’s going to benefit the people right across the city of Toronto and province.”

He supported a bid to relocate the BMX track by Deputy Mayor Doug Holyday, who argued the football-field sized venue is not in keeping with “Etobicoke forefathers’” vision for Centennial Park. It ultimately failed.

On the aquatic centre, Deputy Mayor Holyday voiced concern that even though the city said it would turn over land in “as is” condition, the deal between the various partners stipulated that the site had to be construction ready, according to Brenda Patterson, general manager of parks, forestry and recreation.

“Are there any other surprises coming down the road?” asked Mr. Holyday.

“Not that I’m aware of,” said Ms. Patterson.

The city would have had to pay to remediate the soil at some point, officials said, and in this deal the U of T is paying for $29-million of a $52-million bill.

Councillor David Shiner said the previous administration didn’t tell residents what the “true costs” were, and the new executive is.

“We’re capping what it will cost Toronto taxpayers and we’re partnering and getting a great facility out in an area of the city that really, really needs it,” said Councillor David Shiner (Willowdale). “If you go into my community, in Ward 43, you won’t hear anyone say we don’t want this here. It’s long desired,” said Councillor Paul Ainslie (Scarborough East).

Ian Troop, CEO for Toronto 2015 Pan Am Games, said the competition is a chance “to portray Toronto in a different light” and will leave a legacy of sport infrastructure behind.

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What will more than $96-million for the Pan Am Games get the City of Toronto? Thanks to a cost-sharing agreement with higher levels of government, $344.5-million worth of sports facilities, listed below.

Retrofit the Etobicoke Olympium aquatic centre

Resurface a 400-metre track at Centennial Park, build new throwing and jumping areas